Much like USDT, the value of XAUT is protected by a physical vault containing the underlying assets of Tether Gold. Tether holds a U.S. dollar for every USDT token in circulation. Tether Gold seeks to harness the efficiency of converting gold to any global fiat currency, while also eliminating the issue of actually moving physical gold. The Tether Gold white paper suggests use cases like inclusion in a portfolio as a hedge against financial instability. Gold-backed cryptos are a way to combine the best of digital currencies with a hedge against inflation. In other words, they are a way of benefitting from the precious metal while still dabbling in all things crypto.
Trade USD, KBC, BTC and ETH for gold (which Karatbars calls Unival or UNV). The project was launched in 2019, and it was to be a tradable commodity on the IBADAH Exchange. In 2020 Qatar banned crypto trading, putting the project in doubt. The GGC token was listed on Kucoin, but it has since been removed. Goldzip token project is issued and regulated by the Chinese Gold and Silver Exchange (CGSE) in the Hong Kong Special Administrative Region (HKSAR). Each Gz is equivalent to the delivery execution right of 1 mg gold in the Goldzip system.
It combines blockchain transparency with traditional gold ownership. GoldCoin (GLC) combines the stability of gold with crypto accessibility. Unlike other coins representing a specific gold amount, GLC is intended to function as a digital asset with value linked to gold’s price.
This token is by Ainslie Wealth, a leading Australian bullion dealer since 1974. The idea of a digital gold currency as an alternative payment system is almost as old as the internet itself. Not long after the internet went mainstream, E-Gold emerged in 1995 as the first digital currency backed entirely by gold. At its peak, millions of people around the world were using this service until it was shut down. Digital gold can also be traded via India’s securities provider, the Stock Holding Corporation of India, which helps investors purchase gold via a programme called GoldRush.
Where PAX Gold edges out XAUT, though, is in its exchange support. Fhumulani Lukoto holds a Bachelors Degree in Journalism enabling her to become the writer she is today. Her passion for cryptocurrency and bitcoin started in 2021 when she began producing content in the space.
One of the biggest arguments against Bitcoin is that its value is intangible and not backed by anything of actual physical value. This is where gold-backed cryptocurrencies step into the picture because of their connection to physical gold. You should be able to turn in your token and receive physical gold from a storage facility or custodian. Unlike other cryptocurrencies, there is an actual physical concern. In theory, once a gold-backed cryptocurrency is redeemed, it is burned and removed from circulation. This suggests that there should be an equivalent amount of gold in reserves or a fault of the company or trusted custodian as physically collateralized assets.
